September 8, 2024

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The fuel tax has been abolished, and the fee comes per kilometre

The fuel tax has been abolished, and the fee comes per kilometre

The increase in electric vehicles on the road is raising new concerns. That is, how these cars are will contribute to the state budget, As the taxes collected on gasoline are constantly decreasing.

California is considering it Replacing the gasoline tax with a mileage tracking system To offset revenue losses caused by the growing number of electric cars, which do not pay gas taxes.

The California Department of Transportation is piloting the California Road Charge program, offering volunteers $400 each To install a tracking device or send mileage photos.

This program aims to recover gasoline tax revenues that electric cars do not contribute. Considering that there are already 1.5 million electric cars on the road.

Currently, EV owners pay Annual fee of $100But that pales in comparison to the average $300 per year that drivers of internal combustion vehicles pay in gasoline taxes.

This money is Essential to maintaining California’s highwaysWhich costs 8-9 billion dollars annually.

The shift to electric cars, with 400,000 new models last year and a decrease of 300,000 internal combustion cars, It threatens this revenue stream.

The pilot program, which begins July 1 and lasts six months, will require participants to do just that To pay for their kilometers every montheither using a device installed in their vehicle, the vehicle manufacturer’s connected systems, or by sending images of the odometer.

Prices will vary for testing Different pricing models.

Despite the state’s logic, reactions from consumers are expected Due to privacy concerns.

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People generally do not want to be tracked, even though they already carry tracking devices such as Smartphones and smart watches.

Submitting images monthly, while less intrusive, Adds additional duty to drivers It can prevent adoption electric car, Which is worrying as California aims to ban internal combustion engines by 2035.

The state believes a mileage-based tax is fairer Electricity contributes to road erosion Like other vehicles, its heavy weight can cause more damage.

However, convincing the public to accept mileage tracking It remains a huge challenge.

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